Investing in Arizona's Future

Proposal to Strengthen the State of Washington's Higher Education System through Investment in Infrastructure

Former Governor Daniel J. Evans (R) and former Governor Booth Gardner (D) propose that the Washington State Legislature provide additional debt capacity to Washington State’s higher education institutions for new construction and capital improvements.

Gov. Evans and Gov. Gardner argue:

Only a few states will capture the bulk of new high-technology jobs.
Without strong higher education institutions, the best students leave for better education out-of-state and don’t come back.
Bill Gates was asked what was the most important single thing we could do to assure our economic future, he answered: “Support your local university.”

Gov. Evans and Gov. Gardner propose $1.7 billion in additional debt capacity:

No new taxes are required – construction costs are financed by bonds and become part of the state’s long-term debt, not an immediate expense.
Work on new construction would create more than 30,000 new jobs.
Work on new construction plus renovation and repairs would create an estimated 90,000 direct and indirect jobs over the next 10 years.
New construction would generate over $100 million in sales-tax revenue.
New construction plus renovation and repairs would generate estimated $213 million in sales-tax revenue.
Timing (now) would take advantage of low interest rates.

SEATTLE POST-INTELLIGENCER

Higher ed jeopardized by rickety foundation
Sunday, January 12, 2003
By DANIEL J. EVANS AND BOOTH GARDNER
FORMER GOVERNORS

Washingtonians have been through a lot together over the past few years: Boeing, a Washington icon, moved its corporate headquarters to Chicago; we survived a huge earthquake with major damage to our state's basic infrastructure; the boom of the dot-com industry came in a flash and left almost as quickly; we found ourselves with the dubious distinction of the greatest unemployment in the nation; and yes, even the Mariners came oh so close to making it to the World Series.

But we do not have the luxury of self-pity.

We are in a highly competitive economy. Only a few states will capture the bulk of new high-technology jobs. Although Washington is a current center of biotechnology and computer science, there is no assurance that we will continue to be competitive with other states. After a speech a year ago, Bill Gates was asked what was the most important single thing we could do to assure our economic future? He replied, "Support your local university." In other words, make an investment in education because brains are now our most important natural resource.

Other states have gotten the message. Many are making huge investments in their higher education systems, hoping to reap the rewards of new jobs and continuing prosperity.

Washington, in contrast, has squeezed higher education for the past decade and the system is now running on fumes. We continue to ignore investment in higher education at our peril. Our best and brightest students seek education elsewhere, and our top faculty are being recruited by those states that are making an investment in their higher education systems.

One thing, however, remains at the core of the spirit of Washingtonians. We still believe in the American dream of leaving the next generation better off than the previous one. The pursuit of education that will prepare the next generation to succeed is the underpinning of that American dream. That is why, as former governors, we have joined to make sure that public higher education in Washington state will remain accessible to our grandchildren and their children in the years ahead.

Today, all public four-year universities and the community and technical colleges are overenrolled. Our colleges and universities are educating more students than the state is willing to support. Many of our campuses are badly in need of repair, technology upgrades and renovation.

If we are to prepare for the future, new construction is needed, to provide additional capacity for children of the baby boomers now rapidly approaching college age. They will be joined by many adults seeking re-education to better compete in today's tough job market.

In 2008, only five years from now, Washington will graduate a record-breaking class of high school seniors. The baby-boom echo will squarely challenge us. Unless we act now to prepare new space and to upgrade existing classrooms, we risk closing the doors of opportunity to many qualified graduates. They either will lose the chance for needed education or will seek college elsewhere.

Many of those who leave our state for their college education never return. Is that the legacy we choose to leave our children?

That describes a dismal future that we reject. Instead, we will ask the Legislature to embark on a major 10-year capital construction project that will address new construction as well as repairing, modernizing and renewing our existing colleges and universities.

We propose that the Legislature provide additional debt capacity of $1.7 billion for new construction over the next decade. Simultaneously, we will ask the Legislature to reauthorize the current share of the capital budget that higher education has traditionally received to focus on repair and renovation of current facilities. This bold plan will provide new capacity for more than 40,000 students. It will open expanded opportunity in high-demand programs such as computer science, biotechnology and nursing.

Our plan will do more for our citizens than just provide capacity at our higher education institutions. It will help kick-start an economy that is sorely in need of a boost. The new construction alone would create more than 30,000 new jobs. If we add work on renovation and repair, we estimate the number of direct and indirect jobs at 90,000 over the next 10 years.

Sales-tax revenue generated by the new construction part of our proposal will exceed $100 million. If the whole package is included, the revenue is estimated at $213 million. That is a fine return on a needed investment.

Some wring their hands and say this idea is too expensive; it can wait for economic recovery, or for a better idea to come along. In other words, why do it now?

We strongly believe now is the time. First, we must be prepared to provide higher education access to the rising tide of high school graduates. Second, the jobs created by this proposal would assist many of our citizens to go back to work. Third, current low interest rates make this an affordable proposition. And finally, we must start reinvesting in our higher education system if we are to retain our status as a progressive and competitive state.

We can accomplish our plan without raising taxes. The proposal is for a 10-year construction program. It will start with the highest-priority projects and allow all institutions to plan ahead for their construction needs. Debt service during the coming biennium will be less than $6 million and would rise gradually in future biennia as our economy recovers.

We believe this program will fit within our current debt limits and will still allow for reasonable capital projects for other purposes. This is a necessary and affordable investment in our future.

We are both committed to actively engaging the Legislature in developing our plan. This is not an end run around the governor or Legislature. We will bring legislation to this session for public debate and collaborative development. We hope for a strong bipartisan support that will show that the Washington can-do spirit has revived.

This project has the potential to be a patch of blue sky in what otherwise could be an extraordinarily gloomy legislative session. We hope every citizen will help us achieve the goal of securing Washington's future. We can and must invest in the next generation of Washingtonians who represent our future prosperity.

Daniel J. Evans was the governor of Washington from 1965 through 1977. Booth Gardner was Washington governor from 1985 through 1992.